TikTok and its parent company ByteDance have reached a $400 million agreement with the U.S. Department of Justice to resolve claims tied to children's online privacy protections.
The case centered on allegations that the platform allowed users under 13 to remain active while collecting personal data without the consent required under the Children's Online Privacy Protection Act (COPPA). The settlement was first reported by Axios.
Along with the financial payment, the deal calls for stronger age-verification tools, added protections for younger users, and more parental oversight of account activity and personal information. The agreement does not require TikTok or ByteDance to admit wrongdoing.
The matter follows earlier federal action in 2019, when the company behind Musical.ly agreed to a separate COPPA settlement and pledged to block under-13 account creation. The new accord reflects how digital platforms are being pushed to build safer, more transparent systems for younger audiences.
As social apps continue to evolve, privacy-first design and smarter age controls may become a defining standard for the next generation of online platforms.